NFP: Sluggish job recovery undermines dollar, gold positive

The US economy gained 1.763 million jobs in July while the unemployment rate stands at 10.2%. Slow hiring trend is downbeat for the dollar and good for gold, FXStreet’s analyst Yohay reports.

Key quotes

“America gained 1,763 million jobs in July, 1.462 million in private payrolls, both better than expected – but a significant deceleration from June's 4.791 million jobs. Overall, there still are some 10 million people who have not returned to work. Job restoration is slowing down.” 

“The current broad dollar downtrend could continue as other countries seem to be moving up and not down. Gold has room to extend gains amid speculation of further monetary and fiscal stimulus.”